Tantech Holdings Ltd. (NASDAQ:TANH) (“Tantech” or the “Company”), a leading clean energy company in China, today announced that it has entered into a securities purchase agreement with certain institutional investors for a registered direct placement of $6.5 million of common shares at a price of $3.45 per share. The Company will issue a total of 1,891,307 common shares to the institutional investors. As part of the transaction, the Company will also issue to the investors warrants (“Investor Warrants”) for the purchase of up to 945,654 common shares at an exercise price of $4.25 per share, which Warrants will have a term of 5-year from the date of issuance.
The net proceeds from this offering will be used for general working corporate purposes. The completion of the placement is expected to occur on or about September 29, 2017, subject to the s atisfaction of customary closing conditions.
FT Global Capital, Inc. acted as the exclusive placement agent in connection with the offering.
These securities are being offered through a prospectus supplement pursuant to the Company’s effective shelf registration statement and base prospectus contained therein. A shelf registration statement relating to these securities has been filed with and declared effective by the Securities and Exchange Commission (the “SEC”). A prospectus supplement related to the offering will be filed with the SEC.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities, in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.
For further details of this transaction, please see the Form 6-K to be filed with the SEC.